Commissioner drafted in to rescue Northamptonshire County Council outlines contract cull

Tony McArdle has given his first interviews sincebeing drafted in to rescue Northamptonshire County Council.

Published:06:00Thursday 26 July 2018

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A bonfire of county council-held contracts could be on the way as the authority looks to halt a £70 million overspend this year.

That is according to Tony McArdle, one of the Government commissioners sent in to steady the financial ship at One Angel Square in May.

Mr McArdle left his post as chief executive of Lincolnshire County Council in January. He was drafted in to balance Northamptonshire's books in May.

Giving his first interview since taking over the task alongside Brian Roberts two months ago, Mr McArdle said his main focus now - having undertaken a forensic look at the accounts - was to formulate a plan for getting the authority out of the financial mire.

Part, of that, he said would require shedding contracts with a number third-party service providers.

He said: “We are going to have to examine where reasonably we can cut costs.

“If you think that 70 per cent of the money that this council spends every year is on third-party contracts the questions you have to ask are - are those necessary and correct?

“Some will have been there for some time. Some will be very large, some will not fit in with the new objectives this council is going to set.

“There are hundreds from the large highways contract (with Kier WSP) to the contracts for childrens’ care and adult care.

“All of them will be reviewed.”

Over £1 billion of PFI contracts, large private loans taken out by the council to fund capital projects will also form part of that review.

Speaking on the same day the second Section 114 notice was issued at One Angel Square, the former Lincolnshire chief executive said the financial situation in Northamptonshire was ‘exceptional’.